Director Peter Jackson gave NBC News' Ann Curry a behind-the-scenes look at his studio in New Zealand, revealing secrets about his filmmaking process during the making of "The Hobbit."

Jackson showed how innovative green screen technology allows Gandalf to tower over hobbits and dwarves and how performance motion techniques make Gollum and the trolls come to life.

Jackson also relied on some decidedly low-tech methods while making the prequel to the "Lord of the Rings," revealing that the actor portraying Bilbo Baggins, Martin Freeman, was frequently filmed on his knees.